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'a.c. INDIAN RIVER COUNTY, FLORIDA MEMORANDUM TO: Jason E. Brown, County Administrator THROUGH: Michael Smykowski, Budget Director FROM: Basil Dancy, Computer Services Manager SUBJECT: AT&T Internet Contract Renewal DATE: April 17, 2018 DESCRIPTION AND CONDITIONS The Indian River County Board of County Commissioners entered into an agreement with AT&T to be our Internet Service Provider (ISP). In February 2011, the Board of County Commissioners approved a Master Agreement contract to set the approved pricing schedules. We have been operating under this agreement since that time. In October/November of 2017 AT&T came out with a new pricing schedule for ISP services. Computer Services was notified of this new pricing schedule in December of 2017. Computer Services staff contacted AT&T for updated contract information at that time. We recently received the new pricing schedule contracts which represent a substantial cost savings for the County. The term of the new pricing schedule is 36 months. The connection at the County Administration complex will go from the current charge of $3,778.14 per month to the new $1,103.75 charge. The Emergency Operations Center (EOC) connection will go from the current charge of $1,950.77 to $451.50. Staff has researched available piggyback or State contracts and have not identified any suitable for use. There is no State of Florida contract available to utilize. Staff also contacted the local surrounding agencies to compare ISP procurement practices. The responses we have received indicate that other municipalities have also entered directly into agreements with their local providers of these services without completing a formal solicitation. Pursuant to section 2.5 of the Indian River County Purchasing Manual, routine overhead for these types of utility services are exempt from the purchase requisition and purchase order requirements. There is no statutory requirement for us to bid. The new contract covers existing internet connections currently in use and any future installs or upgrades for Board of County Commissioner connections. Staff is requesting that the Board approve the attached agreement with AT&T. At the same time staff is recommending the approval for the upgrade of the existing connection at the EOC, which is currently a 10 Mb connection compared to the 100 Mb connection at the Administration complex. An upgrade to a matching 100 Mb connection would increase the 36